Rate of Return Calculator

Calculate Investment Returns and Growth Rate

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Understanding Rate of Return

The Rate of Return (ROR) measures the percentage change in an investment's value over time, accounting for compounding effects. It's a crucial metric for evaluating investment performance and comparing different investment opportunities.

How to Use This Calculator

  1. Enter your initial investment amount
  2. Input the final investment value
  3. Specify the time period in years
  4. Select your preferred compounding frequency

Key Terms

Initial Investment

The starting value of your investment (principal amount).

Final Value

The ending value of your investment after the specified time period.

Compounding Frequency

How often interest is calculated and reinvested (e.g., monthly, annually).